Stocks are on pace for meager gains this year, with the S&P 500 and Dow up one-percent and the Nasdaq down 4 percent.

In an environment with low-single digit returns, Heartland Financial CIO Nancy Tengler, tells CNBC's "Power Lunch" she likes a company like Johnson Controls, which is outperforming the market this year.

"The auto battery business has improved Johnson Controls' margin expansion. The Tyco merger improves building business and the company looks a lot more like an industrial than an auto parts company," Tengler said.